scholarly journals Global Value Chains of COVID-19 Materials: A Weighted Directed Network Analysis

Mathematics ◽  
2021 ◽  
Vol 9 (24) ◽  
pp. 3202
Author(s):  
Georgios Angelidis ◽  
Charalambos Bratsas ◽  
Georgios Makris ◽  
Evangelos Ioannidis ◽  
Nikos C. Varsakelis ◽  
...  
Keyword(s):  
Value Chain ◽  
Trade Flow ◽  
Value Added ◽  
Value Chains ◽  
Directed Network ◽  
Protective Equipment ◽  
Global Value Chain ◽  
A Value ◽  
The World ◽  
The Usa

The COVID-19 pandemic caused a boom in demand for personal protective equipment, or so-called “COVID-19 goods”, around the world. We investigate three key sectoral global value chain networks, namely, “chemicals”, “rubber and plastics”, and “textiles”, involved in the production of these goods. First, we identify the countries that export a higher value added share than import, resulting in a “value added surplus”. Then, we assess their value added flow diversification using entropy. Finally, we analyze their egonets in order to identify their key affiliates. The relevant networks were constructed from the World Input-Output Database. The empirical results reveal that the USA had the highest surplus in “chemicals”, Japan in “rubber and plastics”, and China in “textiles”. Concerning value added flows, the USA was highly diversified in “chemicals”, Germany in “rubber and plastics”, and Italy in “textiles”. From the analysis of egonets, we found that the USA was the key supplier in all sectoral networks under consideration. Our work provides meaningful conclusions about trade outperformance due to the fact of surplus, trade flow robustness due to the fact of diversification, and trade partnerships due to the egonets analysis.

scholarly journals Competitive Conditions in Global Value Chain Networks: An Assessment Using Entropy and Network Analysis

Entropy ◽  
2020 ◽  
Vol 22 (10) ◽  
pp. 1068 ◽  
Author(s):  
Georgios Angelidis ◽  
Evangelos Ioannidis ◽  
Georgios Makris ◽  
Ioannis Antoniou ◽  
Nikos Varsakelis
Keyword(s):  
Value Chain ◽  
Value Added ◽  
Value Chains ◽  
Global Value Chain ◽  
Degree Centrality ◽  
Sector Structure ◽  
Input Output ◽  
Weighted Degree ◽  
The World ◽  
Weighted Degree Centrality

We investigated competitive conditions in global value chains (GVCs) for a period of fifteen years (2000–2014), focusing on sector structure, countries’ dominance and diversification. For this purpose, we used data from the World Input–Output Database (WIOD) and examined GVCs as weighted directed networks, where countries are the nodes and value added flows are the edges. We compared the in-and out-weighted degree centralization of the sectoral GVC networks in order to detect the most centralized, on the import or export side, respectively (oligopsonies and oligopolies). Moreover, we examined the in- and out-weighted degree centrality and the in- and out-weight entropy in order to determine whether dominant countries are also diversified. The empirical results reveal that diversification (entropy) and dominance (degree) are not correlated. Dominant countries (rich) become more dominant (richer). Diversification is not conditioned by competitiveness.

A value-added analysis of trade in Taiwan and Korea’s ICT industries

2016 ◽  
Vol 20 (1) ◽  
pp. 47-73
Author(s):  
Hsing-Chun Lin ◽  
Shih-Hsun Hsu ◽  
Ruey-Wan Liou ◽  
Ching-Cheng Chang
Keyword(s):  
Value Added ◽  
Information And Communications Technology ◽  
Value Chains ◽  
Input Output ◽  
Content Type ◽  
Cost Structures ◽  
A Value ◽  
The World ◽  
Ict Industry ◽  
Trade In Value Added

Purpose – The purpose of this paper is to extricate value-added exports in information and communications technology (ICT) industry earned by Taiwan and Korea. Additionally, the authors decompose Taiwan and Korea’s gross exports into various meaningful components. Design/methodology/approach – The authors use the inter-country input-output (ICIO) table which endows with cost structures of industries as well as trade information, facilitating in keeping track of the flow of products and value-added. The ICIO table used in this paper comes from the World Input-Output Database. The authors also use the way Wang et al. (2013) decomposed the intermediate goods exports into various components to provide further insights. Findings – The empirical results indicate that Taiwan and Korea’s ICT export to the world shrink by 47.8 and 40.9 percent when the trades are measured in value-added terms. Taiwan and Korea’s ICT export will also decrease by 75.1 and 57.8 percent. From the viewpoint of value added in trade, the share of value added embodied in Taiwan and Korea’s gross ICT exports continued to decrease and reached 24.9 and 42.2 percent in 2011, while the components of pure double counted terms kept growing in recent years. Originality/value – With global value chains flourishing in recent years, conventional trade statistics not only fails to highlight the vertical specialization among different countries, but also distorts the measurement of a country’s competitiveness. This paper extricates value-added exports in ICT industry earned by Taiwan and Korea and bring into focus the importance of trade in value added.

Global value chain linkages and domestic value-added content: Empirical evidence

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Bhushan Praveen Jangam ◽  
Badri Narayan Rath
Keyword(s):  
Value Chain ◽  
Least Squares Method ◽  
Value Added ◽  
Value Chains ◽  
Global Value Chain ◽  
Content Type ◽  
Services Sector ◽  
The Impact ◽  
The Relationship ◽  
Practical Implications

Purpose This paper aims to examine the relationship between global value chains (GVCs) and domestic value-added content (DVA) in a panel of 58 countries for the period 2005–2015. Design/methodology/approach First, the authors quantify the refined measures of GVC linkages by using the Borin and Mancini (2019) decomposition technique. Second, the authors apply the feasible generalised least squares method to test the relationship between GVCs and DVA empirically. Findings First, the authors find that GVC links are crucial to the enhancement of DVA. Second, a study at the sectoral level reveals that GVC links in the primary sector raise DVA whilst reducing DVA in the services sector. Third, the authors find that only upstream activities enhance value-added content. Fourth, the authors note the augmenting role played by national policies in mediating the gains associated with GVCs. Finally, the authors note that the outcomes associated with GVCs are consistent when the sample of countries is divided into groups based on income. Practical implications The results lead us to urge policymakers to promote greater integration of business activities into GVCs to reap their benefits. Originality/value This paper contributes to the research on the impact of GVCs on DVA by emphasising the significance of the types of GVC activities and policies that improve DVA.

THE EU’S SHRINKING SHARE IN GLOBAL MANUFACTURING: A VALUE CHAIN DECOMPOSITION ANALYSIS

2020 ◽  
Vol 252 ◽  
pp. R19-R32
Author(s):  
Robert Marschinski ◽  
David Martínez-Turégano
Keyword(s):  
Value Chain ◽  
Decomposition Analysis ◽  
Value Added ◽  
Value Chains ◽  
High Tech ◽  
Global Manufacturing ◽  
A Value ◽  
Industry Policy ◽  
The Eu

The EU´s falling share in global manufacturing has fuelled concerns about an overall loss of EU competitiveness, in particular vis-à-vis China. We analyse the empirical evidence underlying these concerns by applying a newly developed decomposition technique to global input-output data spanning the years 2000 to 2014. Our results confirm the diminishing role of the EU in manufacturing value chains, but also show that this is mostly, by nearly 75 per cent, a consequence of the geographical and sectoral reallocation of global demand, reflecting the lower economic growth in the EU relative to the rest of the world. Still, the other almost 25 per cent of the EU’s loss of global share is explained by its lower participation in manufacturing value chains, which confirms a downturn in EU competitiveness. By extending the analysis to individual manufacturing activities we show that this general trend is more pronounced for low-tech (e.g. textiles) than high-tech sectors, with pharmaceuticals emerging as the most resilient EU industry. Policy concerns appear to be most warranted for electronics, a key sector for which the EU´s global share fell even more than for overall manufacturing, without evidence that EU value added from upstream service inputs could significantly mitigate this trend.

scholarly journals Capitalist crisis in the “age of global value chains”

2021 ◽  
pp. 0308518X2110067
Author(s):  
Jennifer Bair ◽  
Mathew Mahutga ◽  
Marion Werner ◽  
Liam Campling
Keyword(s):  
Value Chain ◽  
Global Value Chains ◽  
Value Chains ◽  
Global Value Chain ◽  
Modernization Theory ◽  
World Development Report ◽  
Neoliberal Globalization ◽  
Academic Literature ◽  
The World ◽  
World Development

In this article, we analyze the strategies, surprises, and sidesteps in the World Bank’s 2020 World Development Report, Trading for Development in the Age of Global Value Chains. Strategically, the Report promotes an expansion of neoliberal globalization couched in the language of global value chains. Curiously detached from the broader academic literature on global value chains in international trade, it promotes a sequentialist vision of global value chain upgrading that evokes the stagism of classic modernization theory. The authors sidestep important issues, such as China's pivotal role in the landscape of global trade, and are largely silent on others, including climate change. Significantly and somewhat surprisingly, given the general endorsement of global value chain integration, the Report acknowledges negative distributional trends associated with the rise of global value chains, including the excessive benefits reaped by “superstar firms” and the now well-documented decline in labor's income share. These observations are not reflected in the document's policy section, however, where the World Development Report largely recapitulates familiar prescriptions, with the threat of nationalist populism and rising protectionism providing a new bottle for this old wine. Drawing on a range of literature including United Nations Conference on Trade and Development's 2018 Trade and Development Report, we highlight not only the limits of the Bank's adherence to an increasingly embattled orthodoxy, but also the necessary starting points for a more useful discussion of the merits, limits, and future of global value chains.

scholarly journals Socioeconomic Impact of Genome Editing on Agricultural Value Chains: The Case of Fungal-Resistant and Coeliac-Safe Wheat

2019 ◽  
Vol 11 (22) ◽  
pp. 6421 ◽  
Author(s):  
Oliver Maaß ◽  
Nicola Consmüller ◽  
Hella Kehlenbeck
Keyword(s):  
Genome Editing ◽  
Value Chain ◽  
Qualitative Content Analysis ◽  
Value Added ◽  
Socioeconomic Impact ◽  
Value Chains ◽  
Value Chain Analysis ◽  
A Value ◽  
Food Retailers ◽  
Chain Analysis

Genome editing (GE) is gaining increasing importance in plant breeding, since it provides opportunities to develop improved crops with high precision and speed. However, little is known about the socioeconomic impact of genome editing on agricultural value chains. This qualitative study analyzes how genome-edited crops could affect agriculture value chains. Based on the hypothetical case of producing and processing fungal-resistant and coeliac-safe wheat in Germany, we conducted semi-structured, in-depth interviews with associations and companies operating in the value chains of wheat. A value chain analysis and qualitative content analysis were combined to assess the costs and benefits of the crops studied along the value chains of wheat. The results show that the use of fungal-resistant and coeliac-safe wheat can provide benefits at each step of the value chains. Fungal-resistant wheat benefits actors by reducing the problems and costs resulting from fungal-diseases and mycotoxins. Coeliac-safe wheat benefits actors by producing high value-added products, which can be safely consumed by patients suffering from coeliac disease. However, the results also show that low acceptance of GE by society and food retailers poses a significant barrier for the use of genome-edited crops in agricultural value chains.

scholarly journals Poverty chains and global capitalism

2018 ◽  
Vol 23 (1) ◽  
pp. 71-97 ◽  
Author(s):  
Benjamin Selwyn
Keyword(s):  
Value Chain ◽  
Firm Value ◽  
Value Added ◽  
Global Value Chains ◽  
Global South ◽  
Value Chains ◽  
Global Value Chain ◽  
Original Material ◽  
Value Chain Analysis ◽  
Secondary Sources

The proliferation of global value chains is portrayed in academic and policy circles as representing new development opportunities for firms and regions in the global south. This article tests these claims by examining original material from non-governmental organizations’ reports and secondary sources on the garment and electronics chains in Cambodia and China, respectively. This empirical evidence suggests that these global value chains generate new forms of worker poverty. Based on these findings, the article proposes the novel Global Poverty Chain approach. The article critiques and reformulates principal concepts associated with the Global Value Chain approach – of value-added, rent and chain governance – and challenges a core assumption prevalent within Global Value Chain analysis: that workers’ low wages are a function of their employment in low productivity industries. Instead, it shows that (1) many supplier firms in the global south are as, or more, productive than their equivalents in the global north; (2) often predominantly female workers in these industries are super exploited (paid wages below their subsistence requirements) and (3) chain governance represents a lead firm value-capturing strategy, which intensifies worker exploitation.

scholarly journals Labor Costs and Localization in Global Value Chains: Comparative Analysis and Conclusions for Poland

2019 ◽  
Vol 11 (1) ◽  
pp. 229-238
Author(s):  
Magdalena Kapela
Keyword(s):  
Value Chain ◽  
Great Part ◽  
Value Added ◽  
Work Force ◽  
Global Value Chains ◽  
Qualitative Assessment ◽  
Value Chains ◽  
Global Value Chain ◽  
Labor Costs ◽  
Technology Industries

AbstractLabor costs in Poland are relatively low in comparison to other European Union (EU) countries. After long period of functioning Poland in closed economy, conditions significantly weakened the level of its competitiveness in the international market. When the boards were opened in 1989, it became clear that cheap work force was one of the most important factors to attract foreign investments. At the same time, globalization and internationalization of production created opportunity for entrepreneurs to establish global value chains. Participation in global value chain (GVC) of Poland can extend international trade and increase gross domestic product (GDP). On the other hand, low wages attract investments in low-technology industries and, moreover, place Poland in the middle of value chains, where semi-products are assembled and new value added is exiguous. The aim of the article is: 1) to present polish participation in global value chain, 2) to analyze how much low labor costs contribute to degree of share in global value chain, and 3) to show how level of labor costs contribute to position in value chain and how does it influence on benefits from participating in GVC. In the article, the quantitative and qualitative assessment of Eurostat (European statistic) and Organisation for Economic Cooperation and Development (OECD) statistics data and research on labor costs carried out in Poland were analyzed. The research tools include a critical analysis of literature and descriptive analytical method. More than 50% of polish exports takes place within the global value chains. Low labor costs attract investors to allocate part of their production in Poland. Nevertheless, great part of export constitutes semi-products that do not create new value added so benefits from participation in GVC are not so considerable as expected. It is desirable to shift Poland toward beginning or the end of value chains, where profits are higher.

scholarly journals Китай в глобальных цепочках стоимости: некоторые факты

2020 ◽  
pp. 20-27
Author(s):  
Наталья Волгина ◽  
Пэнфэй Лю
Keyword(s):  
World Trade ◽  
Value Added ◽  
Developed Countries ◽  
Final Demand ◽  
Value Chains ◽  
Intermediate Goods ◽  
Cheap Labor ◽  
The World ◽  
The Usa ◽  
Very High

В статье представлены особенности участия Китая в глобальной цепочке создания стоимости (далее  ГЦС) по сравнению с крупнейшими мировыми экспортерами. В соответствии с расчетами на основе статистической базы ОЭСР TiVa, авторы приходят к следующим выводам: в последние годы для всех стран было характерно снижение интеграции в ГЦС, при этом, показатели этого снижения для Китая были минимальными; сокращение участия стран в ГЦС напрямую связана с уменьшением доли зарубежной добавленной стоимости в экспорте, причем зависимость Китая от импортируемых промежуточных продуктов снижалась наиболее быстрыми темпами. China’s accession to the WTO has not only entailed China's increased role in the world trade, but has also symbolized the beginning of China’s accelerated integration into the global value chains (GVCs). Initially, China was of interest to developed countries as a location with relatively cheap labor, but gradually its role in the GVC changed, and China became the largest exporter of intermediate goods of final demand in the industrial supply chains, primarily in the automotive and electronics sectors. Thus, it is necessary to evaluate Chinese exports not only and not so much in terms of gross figures, but in terms of value added indicators. The purpose of this work is to evaluate the features of China's participation in GVCs compared with the world's largest exporters such as the USA and Germany. In accordance with the calculations based on the OECD TiVa statistical database, the authors come to the following conclusions: all countries have experienced a decline in GSC integration in recent years, while the rate of the decline for China has been minimal; the decline in countries' participation in GSCs is directly related to the declining share of foreign value added in exports, with China's dependence on imported intermediate products declining most rapidly; at the same time China has increased its share of indirect domestic value added in its exports of intermediate goods by building up its own supply chain. Despite the fact that the countries participation in GVCs is declining, it remains very high, and it is too early to talk about the established trends in de-globalization.

scholarly journals The Specialties of the Pharmaceutical Value Chains in Hungary

2019 ◽  
Vol 69 (S2) ◽  
pp. 41-72
Author(s):  
Katalin Antalóczy ◽  
Tamás Gáspár ◽  
Magdolna Sass
Keyword(s):  
Pharmaceutical Industry ◽  
Value Chain ◽  
Value Added ◽  
Value Chains ◽  
Value Chain Analysis ◽  
Economic Sectors ◽  
Output Analysis ◽  
A Value ◽  
Chain Analysis ◽  
Backward And Forward Linkages

The length, the composition, the quality and the characteristics of value chains essentially determine the corporate as well as the macroeconomic performance of the economic sectors and industries. Hungary has a strong tradition in the pharmaceutical industry but its dynamising impact seems to be limited on the economy. The aim of this paper is to detect and reveal the specialties of the Hungarian pharmaceutical industry both in space and time by a value chain analysis. Our method is partly quantitative, we use an input-output analysis; and partly qualitative, relying on interviews with the representatives of pharmaceutical companies. We found that the Hungarian pharma value chain is really special, having relatively short backward and forward linkages with mainly indirect value-added contribution as well as high import content of exports. However, our company interviews revealed the fundamental differences between original and generic value chains – i.e. again a pharma industry-specific distinction. Having relatively little original and more substantial generic production in Hungary explains much of the value chain specialties, which leaves its mark on the limited impact of the industry on the national economy.

Sign in / Sign up

Export Citation Format

Share Document